• Stats SA released December 2025 liquidation figures showing 100 business closures that month, an increase of 11.1% from December 2024.

• Most closures were voluntary, but compulsory liquidations rose 5.5%, with 193 businesses forced to shut down by courts in 2025.

Stats SA released liquidation figures for December 2025. The data shows 1,534 businesses closed in South Africa in 2025.

That was down 1.1% from the 1,551 closures recorded in 2024.

December alone saw 100 closures. This was up 11.1% from December 2024, but lower than November 2025.

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Most of the closures were voluntary. Business owners chose to shut down 87% of the companies that closed. Only 13% were compulsory liquidations.

Voluntary closures do not always mean a business failed. Owners sometimes liquidate to free up money for other things.

But compulsory liquidations tell a different story. These are court orders forcing businesses to close because they cannot pay their debts.

In 2025, courts forced 193 businesses to shut down. This was up 5.5% from 2024.

Finance, insurance, real estate and business services took the biggest hit. This sector saw 503 liquidations in 2025.

Trade, catering and accommodation came second with 298 closures.

Liquidations have been dropping since 2019. Compulsory closures have stayed fairly steady, averaging 214 over the past seven years.

The country saw spikes in 2020 and 2023. These were linked to Covid-19 and the hard lockdowns that followed.

Businesses in 2025 faced high interest rates. Consumer spending was weak and costs kept rising. Logistics problems and expensive transport squeezed profits. Global trade tensions and red tape made things worse.

For 2026, there is more hope. Economists expect the economy to grow. But unemployment remains high and investment is low.